"Profit Warning" RONGTA TECH forecasts a loss of no more than 7 million RMB in the first half of the year

RONGTA TECH (09881.HK) issued a profit warning, expecting a net loss of no more than RMB 7 million for the six months ending in June, compared to a net profit of approximately RMB 14.4 million in the same period last year. The loss is mainly due to non-recurring listing expenses incurred from the company's shares being listed; slower progress in project approval stages for some clients and further improvements requested by clients on product specifications before delivery, leading to reduced revenue; and increased R&D expenses. Excluding non-recurring listing expenses, the net profit for the first half is expected to be no less than RMB 9.5 million